The Marketer's Toolkit 2023 Glob

The Marketer’s
Toolkit 2023
Your guide to focus, survive & thrive
Global Trends Report
© Copyright WARC 2022. All rights reserved.

Marketer’s Toolkit 2023 – The Global Trends Report
The Marketer’s Toolkit 2023: Finding focus in uncertain times
We began last year hoping to put the concern worldwide, there are several process by collating a broad selection
The 12th edition of WARC’s economic havoc of the pandemic other issues marketers will also need to of macro-level drivers, before extensive
annual Marketer’s Toolkit behind us. Instead, within weeks the war contend with. research and analysis filter it down
in Ukraine turned the world on to the five most important areas of
includes a series of reports
its head. The war, climate change and rapidly change that we address in the Global
aimed at helping marketers
deteriorating US-China trade relations Trends Report.
identify and focus on key The war has had a transformative threaten the regular supply of goods,
areas of industry disruption, impact on energy prices, inflation and driving major changes in industries Uncertainty will rule in 2023, but
determine the most effective the cost of living around the world. that have built businesses on the marketers who are able to drive
strategies, and benefit from The IMF forecasts 2.7% global growth basis of just-in-time availability. Media transformative change in consequential
arising opportunities. in 2023, down from 6% in 2021, and fragmentation and cultural divides areas can benefit from emerging
presents the weakest growth profile are making it harder than ever to opportunities. The 2023 Marketer’s
since 2001 (except for the global aggregate audiences and create Toolkit is designed to help companies
financial crisis and the acute phase of messages that resonate broadly. Even find and focus on these opportunities,
the COVID-19 pandemic). Meanwhile the technology giants are finding and make the most of the coming year.
inflation is expected to improve, but still revenues harder to come by. And of
remain high, at 6.5%. course, the climate emergency has
only escalated in the intervening
The Marketer’s Toolkit survey of months between COPs.
1,700+ marketers worldwide found
The Marketer’s Toolkit 2023

Aditya Kishore that 95% expected to be impacted In this situation, WARC’s proprietary
Director of Insight
by economic recession. While it will STEPIC framework is particularly useful,
WARC
undoubtedly be the single greatest helping us start our theme selection
© Copyright WARC 2022. All rights reserved. 2

Marketing leaders interviewed for this report
Linda Lee Jessica Spence Rebecca Kauveri Khullaar

CMO President of Brands Dibb-Simkin VP Consumer
Campbell Soup/ Beam Suntory CMO Marketing
Meats and Octopus Energy & Sponsorships
Beverages Mastercard APAC
Conny Braams Vanessa Yeo Barger Antonia Wade Alon Lian

Chief Digital and VP of Brand Global CMO Head of Advertising
Commercial Officer Love, Bonito PwC & Media Business
Unilever TCL
Anubha Amy Imbriaco Ye Danpeng Bhaskar Choudhuri

Sahasrabuddhe General Manager, CMO CMO - APAC
CMO Greater China Robam Lenovo
Lion Breweries Tumi
Qaiser Bachani
Global Head of Digital COE

and Europe Consumer
Experience Lead
Mondelēz

In this Contents
report
1 2 3
Marketing in a A reckoning The era of
cost-of-living crisis for Big Tech “bubble up” culture
The Global Trends Report is the first
module in the Marketer’s Toolkit 2023,
aimed at providing marketers with a Current macroeconomic factors Shifts in demand, new competition Technological and societal trends
set of planning and decision-making are driving very high levels of price and the blurring of product have split traditional segments into
tools for the coming year. It identifies sensitivity. Marketers must find ways categories mean that gravity is different ideological and interest-based
five trends that will disrupt existing to maintain brand equity and increase finally starting to affect technology communities. Increasingly, effective
global marketing practices, and offers market share in an increasingly leaders, forcing new strategies marketing will require marketers to target
insights to help turn these disruptive difficult economic scenario. from them in 2023. messaging based on these elements.
areas into opportunities for growth.
4 5
Trend identification is based on our The clash of Price vs. planet:
proprietary STEPIC methodology demand, delivery A false dichotomy
along with an in-depth review of and disruption
the latest insights and industry
information. The report further War, climate change and inflation Marketers will need to balance
incorporates a global survey of 1,700+ are all creating unprecedented sustainability initiatives with
marketing executives, and one-on- disruption for global supply-chains. increased price sensitivity from
one interviews with leading marketers Consistent inventory and reliable consumers in this current economic

worldwide, as well as analysis and delivery of products will emerge as environment.
insight from WARC’s global team an important differentiator in 2023.
of experts.
Note: Unless specified otherwise, all survey data in this report is from the 2023 Marketer’s Toolkit survey, an online survey of 1,700+ marketers worldwide,
conducted in September 2022.

Extensive research and data collation of key macroeconomic forces driving change
The STEPIC
S T E P I C
methodology Society
The drivers altering
Technology
The drivers enabling
Economy
The drivers of
Policy
The regulatory
Industry
The drivers dictating
Creativity
The drivers shaping
consumer behaviour new models, processes marketing drivers affecting the competitive creative output
and preferences and possibilities investment marketing activity environment
This report is part of the 12th annual
Marketer’s Toolkit from WARC, aimed at
providing insight and planning support for
Analysis and selection process; selecting most viable themes from research
the main challenges facing marketers in
the coming year.
Evaluation of macro-trend impacts on marketers

As in recent years, the report is based
on the proprietary STEPIC methodology,
developed alongside WARC’s sister Global expert analysis and trend selection
brands within the Ascential group of

companies. STEPIC covers six drivers
of change for marketing: Society,
Global survey Interviews Desk research,
Technology, Economy, Policy, Industry of 1,700+ with marketing WARC internal
marketers leaders data & case
and Creativity. worldwide study review
By reviewing the major macro drivers

expected to impact our industry in 2022 Synthesis and analysis
across each of these six pillars, the WARC

team has been able to gain insight into Final validation
& review process
the major trends and disruptive forces
for marketers, and help define the most
Final Report
effective strategies to manage and profit
from these forces.

1 Marketing in a
cost-of-living crisis
2022 has been a year of two-pronged

economic anxiety. First, inflation gripped
the globe, and now, most major economies
appear poised for a recession that isn’t
expected to offer much pricing relief. This
chapter looks at how marketers can
navigate a treacherous time.

1 – Marketing in a cost-of-living crisis
O ngoing pandemic-related supply

chain difficulties, and the war in
Ukraine, have combined to bring on
a relative newcomer to the US market,
has reported double digit year-on-year
US growth.
an era of stagflation, where probable
recession has combined with inflation. A more enjoyable coping mechanism
Even as consumers spend less, certain is the so-called “lipstick effect”,
factors causing prices to rise are wherein consumers indulge in small
proving implacable. luxuries when Big Ticket items become
unaffordable.
According to data from the OECD, the
Consumer Confidence Index is down Some marketers are falling into
throughout the US, the UK, Europe and predictable, If discouraging, patterns
China, with major regional variations. A as well, with 36% of respondents to
survey from Rival Spark found that most WARC’s Marketers Toolkit survey saying
consumers in the UK (51%) expect their they plan to cut marketing spend, even
personal economic situation to decline though evidence from prior economic
in the near term; in the US, almost half downturns suggests they should
(46%) expect the opposite. maintain spending levels. Complicating
the current situation further is that
The particulars aside, this challenging marketers also have to figure out how to
economic cycle is resulting in manage price, a new skillset for many.
predictable consumer behaviours
globally, amongst them more desire

to purchase store brands. A European
McKinsey study showed that 62% of
consumers have done this, or plan to,
and the German discount grocer Aldi,

The need to address How important are each of the following societal topics and consumer
inflation rises concerns in terms of their impact on your 2023 marketing strategy?
Significant impact Some impact No impact
The 2023 Marketer’s Toolkit survey asked
respondents two pointed questions about
how rising inflation is affecting their plans
The impact of economic recession 63% 32% 5%
for 2023, and both showed addressing it as
the number one priority. Environment: conscious consumption,
sustainability and climate change
40% 49% 11%
In the chart at the right, 95% said “the
Data: privacy, consumer's control
impact of recession” was affecting their 39% 47% 14%
over their data, ethical internet
planning, with 63% calling that impact
“significant”. Brand safety issues (i.e. avoiding
37% 44% 19%
disinformation and hate speech)
The cost-of-living crisis was also cited as

Diversity, inclusivity and social justice 33% 49% 18%
“the biggest cause for concern” amongst
respondents, ranking number one for 37%.
Low-attention economy 30% 51% 19%
Still, there are regional differences. Other

Wellness: mental health, self-care,
survey data shows the impacts are being 29% 50% 20%
burnout & stress
felt slightly more strongly globally than
they are in North America, where media Escalating geopolitical tensions 26% 47% 27%

and audience fragmentation is worrying
more marketers. Viruses, communicable diseases
23% 44% 33%
& hygiene related concerns
0% 25% 50% 75% 100%

How marketers are responding Do you expect the balance of your investment
in brand vs. performance to change over the
Data from the Toolkit survey shows during a downturn. Another is that next year?
marketers are deploying many there is clear recognition amongst
strategies to manage the economic respondents that the lines between (By survey year)
situation, including a plan to brand and performance are getting
“adjust spend between brand and murky, with 62% saying they see Increased investment in brand Increased investment in performance No change
performance marketing” on the part convergence between the two on
of 43%. As we’ve seen during prior digital commerce platforms. 100%
economic slowdowns, there is also a
healthy – or unhealthy – percentage When it comes to performance 20% 24%
28%
(36%) who plan on reducing marketing marketing, things are directionally 36%
spend. clear, with 39% saying they are going
75%
to move budget to digital channels
But here’s where it gets interesting. and 35% saying they plan on
More Toolkit respondents than last shifting to “value-focused offers and
32% 50%
year are predicting an increase in promotions”. 46%
50%
budget in both areas. On the brand
41%
side, 31% say they are increasing
spend, as compared to 23% last year.
On the performance side, the split is
25%
46%/41%. 40%

30% 31%
23%
One potential explanation is that more
marketers are finally taking the advice
0%
to double down on brand spending 2019 2020 2021 2022

The case for continuing investment
The rush to cut advertising spend First, let’s look at pricing; it’s not Effectiveness Database, ESOV has large
is understandable, especially in something marketers are accustomed business effects across all budgets,
organisations where marketing isn’t to because prices have been static building mental availability when other
viewed as an investment – as is the for years. brands go dark.
focus on price promotions to support
sales. However, evidence supports going Les Binet recently urged brands to But don’t let performance do the heavy
in the opposite direction on both. use econometrics to get a handle lifting when building ESOV. British
on price elasticity, studying growth e-commerce clothing brand Asos is
During downturns, marketers prospects and price pressures in finding this out the hard way; its over-
who continue to invest in brand their sector. While it’s important to investment in performance (+80%)
advertising and are prudent about optimise around price, promotion and and failure to invest in long-term brand
price promotions: ad budgets, he noted brand advertising awareness has caught it in the “spiral
is the underpinning, supporting prices of doom” where continual discounting
• Often weather increases in
and margins. The “force multiplier” of erodes gross margins over time.
pricing better because they’ve
creativity is also crucial.
built brand equity.
Does investment during downturns
• Come out stronger, often because Focusing on brand protects against really work? Analytic Partners data from
they focus on gaining excess share of price elasticity. And this can be done in the last recession shows what happens
voice (ESOV). many ways, via ESOV, innovation, and when advertising Is considered an
getting the tone of messaging right. investment: brands that boosted their ad
• Enhance connections with customers

investment increased incremental sales
by also focusing on the tone of their
According to an analysis of the by 17%; those that cut back saw an 18%
messaging.
Advertising Council of Australia’s (ACA) contraction.

A few words about messaging
The tone of messaging is also a key YouTube (30%), but is less popular in
consideration when marketing in a print, outdoor and website ads.
cost-of-living crisis.
System1’s analysis of 2021 Super
First and foremost, brands need to Bowl ads demonstrates humour’s
convey sensitivity and transparency impact. Despite racial strife,
– don’t resort to euphemisms when polarisation and ongoing worry in the
relaying bad news. Especially when US about the pandemic, nine of the
having to raise prices, brands need to top 10 ads favoured by consumers
communicate their value, aside from employed humour. Notably, the only
price, and also realise that consumers top ad that wasn’t humorous – from
may have enhanced expectations in the employment site Indeed.com –
areas such as customer experience. displayed empathy, another way that
marketers can effectively use tone.
Another technique is to rely on humour,
especially for brands which commonly Marketing in a cost-of-living crisis
rely on it. In fact, following this advice is about expanding deep customer
might be a competitive advantage; connections through savvy use of
humour has been declining in use media and messaging. The evidence
since 2009, according to research shows brands which embrace this will

from Kantar, despite its effectiveness emerge from the crisis stronger than
in building emotional engagement. It those that don’t.
is used most often in TV (37%) and

The CMO view

Qaiser Bachani
Linda Lee Global Head of Digital COE
CMO Jessica Spence and Europe Consumer
Campbell Soup/Meats President of Brands Experience Lead
and Beverages Beam Suntory Mondelēz
T he recession is real. That’s

something that’s led to a new
effort on our end around value,
W e are seeing a much sharper
downturn in consumer
confidence across Western Europe
I n these inflationary times, where
you are fighting for every other
… dollar that a consumer spends,
marketing and messaging. At a time than we are in the US. You have to consumers will always prefer brands
like this, it’s important to not cut be constantly pushing to understand that have strong equity. There might
back on our marketing … [and] lean what people are experiencing. As we be a small dip or small growth, but
in, not just to market; it’s to lean into saw through the pandemic, people the preference will always be to go
how we can help our consumers. were very choiceful about where they for the known brand and brands that

spent their money. have been consistent in the past.

Case Study
P&G demonstrates value

across pricing tiers
Advertiser: Market:
Procter & Gamble Global
At its 2022 annual meeting, CPG giant Part of the strategy entails promoting Results Takeaways
Procter & Gamble stressed that it is products across price tiers – the
On its most recent earnings call, • There are many ways, other than
managing the cost- of-living crisis Tide laundry brand has price points
P&G said: price, to communicate value; these
by focusing on product value and for the US market ranging from 50
can range from product benefits to
superiority. CEO Jon Moeller said cents per load to about 20 cents. • Organic sales grew (7%) in all
how a product addresses concerns
that means to, “double down on the But the company is also driving product categories; P&G has
such as the environment.
integrated set of strategies that have value messaging, aside from price. maintained global aggregate
been delivering very strong results.” Dishwashing brand Dawn, for instance, market share. • Giving consumers’ options across
promises to clean up to 2,000 more price tiers helps them address their
This includes: • Mid-tier brands in the Fabric
dishes than a leading competitor. economic issues without resorting
Care category have grown as
• A portfolio of daily use products to price promotions.
consumers trade down, but stay
and categories where performance Strong, value-based messaging
within P&G’s portfolio. • Think of every place a brand
drives brand choice; extends across copy, packaging, and

appears as a media channel, so
the virtual and physical shelf. • Growth in private label purchasing
• Having what it calls “irresistible that messaging isn’t limited only to
has had little effect on P&G’s ability
superiority” across product, traditional advertising channels.
to hold or maintain share.
package, brand communication,
retail execution and value. Explore the Case Study

Takeaways 1 2 3
The combination of inflation and a Pricing can no longer be the For all the focus on investment,
probable recession makes this an ‘forgotten P’ since price increases are don’t forget how important the
atypical downturn. a central concern for consumers. tone of messaging is in building
connections with your customers.
This also means the long-standing To get a handle on an individual
advice to marketers to maintain brand’s price elasticity, marketers One underutilised technique is
spending on brand advertising, and should use econometrics, assessing humour, which, if used well, can be a
keep building share of voice, is even the impact marketing investment has competitive advantage, even during
more important; Consumers in an on price. Strong brands, which focus tumultuous times. A Kantar study of

inflationary environment may be more on brand advertising than price humour’s effectiveness found that
even more likely to seek out less promotions, have less price elasticity, humorous ads are more expressive,
expensive brands. and can also weather price involving and distinct.
increases better.

2 A Reckoning
for Big Tech
Big Tech’s tectonic plates are shifting

at a quicker pace than at any time since
the launch of the iPhone in 2007. This
is heightening competition between
Alphabet, Amazon, Apple, Meta and
Microsoft, and reshaping marketers’
relationships with digital platforms.

2 – A reckoning for Big Tech
U ntil recently, technology’s biggest

beasts had been able to enjoy
rapid growth by targeting distinct
reinforced the strengths of data-rich
media owners like Amazon.
market segments, whether e-commerce Alphabet and Meta are still expected
(Amazon), hardware (Apple) or business to earn a combined $324.3bn in ad
services (Microsoft). Even digital revenue in 2022, according to WARC
advertising was neatly divided between Media forecasts. However, their
social (Meta’s Facebook and Instagram), ‘duopoly’ dominance of the digital ad
search and video (Alphabet’s Google sector is being seriously challenged
and YouTube). for the first time. The seemingly
unstoppable rise of TikTok, alongside
This cosy arrangement is at an end, the arrival of new ad players like Netflix,
however. Big Tech stocks have lost suggests brands will have more choice
billions of dollars in value in 2022. As in how they allocate digital marketing
firms seek growth in a post-pandemic budgets. And while initial reactions
landscape, the likelihood of territorial to Elon Musk’s Twitter acquisition are
encroachment increases. far from positive, his deep pockets
might eventually turn it into a stronger
The digital ad market has been upended competitor.
by Apple’s App Tracking Transparency
(ATT) privacy policy, which has made it All the while, Big Tech finds itself
harder for apps like Snapchat to target under a growing weight of regulatory
users and measure the success of restrictions, with the European

campaigns. As well as costing platforms Union’s upcoming Digital Markets Act
billions of dollars in lost revenues, ATT threatening ‘gatekeeper’ platforms with
has also reinvigorated Apple’s own huge fines over any perceived anti-
aspirations in the ad business, and competitive behaviour.

Brand confidence in Facebook How do you expect investment in Facebook

ebbs away to change next year?
(By survey year)
Facebook remains the biggest social occasion we have seen net-negative
platform in the world, with nearly three investment intention towards
Increase Stay the same Decrease
billion monthly active users. Yet its Facebook in six years.
star is beginning to wane – even within
parent company Meta. Moreover, advertisers appear 100%
8%
concerned by Facebook’s reputation 13% 18%
22% 21%
In 2021, Facebook was overtaken in the wake of numerous data privacy 30%
by Instagram as a driver of ad sales and brand safety scandals. Around half
for the first time. Plans to reinvent of those surveyed by WARC identified 75%
38%
Facebook as hub for e-commerce Facebook as the worst-performing 39%
have seen mixed results; the platform platform for both corporate conduct
42% 45%
recently announced it would close its and transparency, as well as consumer 43%
live shopping feature. WARC Media privacy standards and the ethical 50%
47%
forecasts Facebook’s annual global use of data.
revenue will decline from $54.9bn in
2021 to $46.1bn in 2023. Interestingly, less than 5% said the
54%
same for Instagram – suggesting the 25% 47%
This scepticism is borne out by the Facebook brand remains a lightning 34% 37% 37%
Toolkit 2023 survey results. Nearly rod for negativity around the broader 23%

a third (30%) of respondents plan to Meta business.
decrease investment in Facebook, 0%
2017 2018 2019 2020 2021 2022
with only 23% planning to boost
spend with the platform – the first
Original survey question asked ‘How do you expect investment in the following digital platforms to
change in 2023’, which has been adapted above to reflect focus on Facebook investment only.

AI tech a top priority Which of the following emerging technologies do you expect to be most
for advertisers important to you next year?
2022 2021 2020
Big Tech companies wishing to retain
a close relationship with marketers
42%
would do well to prioritise artificial Arti cial intelligence 36%
38%
intelligence (AI) capabilities. For a third 30%
Live video/livestreaming 30%
consecutive year, survey respondents 0%
29%
have named AI as the most important The Metaverse
0%
10%
emerging technology for their brands. 24%

Connected TV 21%
17%
22%
Web3 innovation may also prove key: Enhanced payment technologies 21%
0%
hype around the metaverse is clearly 20%
5G 17%
24%
evident from the 29% who view that 18%
Augmented reality 14%
technology as most significant to their 12%
15%
plans, up from only 10% a year ago. Virtual reality 11%
8%
Interest in blockchain tech and NFTs 15%
Internet of things 14%
has also grown, while connected TV 21%
15%
and augmented reality continue to rise Chatbots/messenger apps 21%
28%
up the agenda for brands. 12%
Blockchain 6%
0%
11%
Non-Fungible Tokens (NFTS) 7%
0%

9%
Wearables 7%
6%
6%
Facial recognition 5%
5%
0% 15% 30% 45%

Shifting attitudes towards Big Tech
This year’s Toolkit survey finds This enforced competition will likely between businesses and consumers
advertisers reappraising long-held mean Big Tech firms working harder to (i.e. Amazon, Meta, Alphabet and
assumptions about the Big Tech attract brand dollars, which can only be Microsoft). Firms must adhere to
landscape. good news for marketers. complex rules on data transparency,
and brands have greater autonomy to
1. Brands have more choice in the 2. Regulation is giving brands set their own prices.
tech space more control
Two years ago, nearly one-in-five (19%) Data privacy remains a top-three 3. TikTok is reshaping the
advertisers claimed that Google and societal concern for advertisers, with digital landscape
Facebook’s digital media ‘duopoly’ was 39% saying it will have a significant TikTok has shaken the Big Tech status
one of their biggest concerns when impact on their 2023 marketing quo and brands are responding in kind:
drawing up marketing plans. Those strategy. 76% of those surveyed plan to increase
worries have subsided: only 11% of investment with the mobile video app
respondents now cite the duopoly as a Regulators are similarly preoccupied. in 2023.
major headache. Europe’s Digital Markets Act (DMA),
which comes into force in 2023, arrives Alphabet recently admitted younger
The majority of advertisers (62%) hot on the heels of further restrictive users prefer discovery via TikTok videos,
agree that a range of changing market guidelines from authorities in China and rather than written searches on Google.
dynamics are forcing strategic shifts India, even if the prospect of antitrust Both YouTube (Shorts) and Instagram
from the tech giants – from Netflix’s measures in the US appears to have (Reels) are betting heavily on TikTok- Nonetheless, the pivot to full-screen,

move into the ad space, to Meta’s diminished. lookalike products, though in watch time vertical video content across Big Tech
growing focus on augmented reality and TikTok remains the undisputed leader of will have an impact on how brands plan
metaverse innovation. The DMA targets large-scale platform short-form video. social and video campaigns in 2023.
businesses which provide a ‘gateway’

What’s next for Big Tech in 2023
Despite economic headwinds, Metaverse not taken off at the expected speed.
Big Tech’s restless pursuit of the next For all the hype, Meta’s vision of the However, despite evidence that
big revenue opportunity will remain metaverse remains unfulfilled. The Western consumers reject the notion of
undimmed. Each major tech player company hopes its new Quest Pro VR Chinese-style ‘super-apps’, companies
is determined to seize first-mover headset will encourage users to work have not yet given up on their plans
advantage in a nascent field, such as: in virtual environments, while brands to integrate content and commerce.
can use Meta’s Avatar Store to sell TikTok is reportedly planning to operate
Digital healthcare digital goods. However, rivals may be its own US warehouses, to further
Digital health and wearable technology stealing a march. Apple will release capitalise on the #TikTokmademebuyit
ownership grew markedly during of its own mixed-reality headset trend for video content influencing
the pandemic, and is likely to be a in 2023, with augmented reality purchase behaviour.
key battleground in 2023. This trend glasses expected to arrive by 2025.
didn’t go unnoticed by Big Tech, which A resurgent Microsoft, meanwhile,
collectively spent $3.6bn on health- already buoyed by its acquisition of
related M&A activity in 2021, centred gaming company Activision Blizzard,
on data and devices. Investment is looking at the space through a
stepped up this year: Amazon B2B lens, and plans to build its own
acquired primary care tech provider ‘industrial metaverse’.
One Medical in a $3.9bn deal, while
TikTok-owner ByteDance revealed its Commerce

own $1.5bn acquisition of hospital Yes, some heat has come out of the
company Amcare. digital commerce sector. Instagram’s
scaling back of shopping features
reveals that social commerce has

The CMO view

Qaiser Bachani
Kauveri Khullaar Conny Braams Global Head of Digital COE
VP Consumer Marketing Chief Digital and and Europe Consumer
& Sponsorships Commercial Officer Experience Lead
Mastercard APAC Unilever Mondelēz
M arketers need to cut through

the hype and return to the
fundamentals of marketing. What
B ehind the scenes, we’re
working to ensure we play a
part in making this evolving arena
I t’s about making sure that
whatever experience you’re
trying to create is absolutely spot
can we do that would appeal to representative, inclusive and safe on, and also has been bought and
consumers, not because it’s a shiny for everyone who uses it. Robust optimised at the right cost level so
new toy but it makes their lives governance around issues such as data that it brings that ROI that you’re
simpler, helps them connect to privacy, safety, equity, diversity and looking for. That’s how we tend to
their passions… inclusion, sustainability and ethics approach all these conversations

needs to be established, and we’re with our partners.
using our scale and global profile to
help set future-fit foundations for our
business and beyond.
Case Study
Lush: Anti-Social Media Policy

Client: Market:
Lush Global
In November 2021, beauty business media owners that use visitor data Results Takeaways
Lush opted to remove itself from in “unpublished ways”. The company’s
• Lush arrived at the pre-Christmas • Context matters. Purpose-driven brands
Facebook, Instagram, Snapchat and CEO said he would be prepared to
trading period with a surplus cash may find their marketing message
TikTok in protest at user and brand lose out on £10m in sales as a result
amount of £26.7m, reflecting compromised by the quality of media
safety concerns. of the move.
improved liquidity. environment in which they advertise.
Lush likened the environment provided This isn’t the first time Lush has • In-person retail is a priority: • Advertisers can select the Big Tech
by social platforms to a “dark and boycotted social platforms – it did so, Lush invested £7.6m in new store platforms that they believe most closely
dangerous alleyway”, and unbecoming briefly, in 2019 as well – but on this openings and refits across the UK aligns with their goals and brand values.
of a company whose purpose is to occasion the abstinence has been and Europe.
• Abstaining from investment with
help people “relax and pay attention to maintained. Instead, Lush has focused
• Lush has attempted to maintain major platforms can generate valuable
their wellbeing”. on growing its YouTube following,
reach through innovations such as PR exposure.
using Pinterest to share inspirational

a new podcast and new wellness
The ‘Anti-Social Media Policy’ content, and invested in re-engaging
app called Bathe.
stipulates Lush will not invest in any customers through physical events.
platform that allows “harassment,
harm and manipulation”, nor digital
Explore the Case Study

Takeaways 1 2 3
Big Tech companies are seeking Alphabet and Meta’s digital Brands have an opportunity to reset
new sources of revenue, in some advertising ‘duopoly’ is being their relationships with Big Tech.
cases bringing them into direct seriously challenged for the
competition for the first time. first time. For years, many advertisers have felt
dependent on the reach and targeting
Growth is slowing in Big Tech’s core Apple’s ATT policy has weakened the capabilities offered by Facebook and
sectors, including digital advertising ability of app-based platforms such as Google. The rise of TikTok and Amazon
and e-commerce. This is encouraging Instagram and Snapchat to track users as media owners, plus newcomers like
those companies to invest vast sums and measure campaign performance. Netflix joining the advertising space,

to win share of emerging sectors, from This creates opportunities for firms may enable marketers to reevaluate
digital healthcare to the metaverse. like Amazon and Apple, which possess and recalibrate media plans to better
greater end-to-end visibility of the suit their brands’ needs.
purchase journey.

3 The era of
“bubble up” culture
Culture formation is increasingly a “bubble up”

phenomenon that is shaped by communities
and creators across a decentralised media
ecosystem. Against this backdrop, marketers
face profound questions around
how to consistently build relevance,
audiences and engagementat
a meaningful scale.

3 – The era of “bubble up” culture
T he formation and diffusion of

culture is undergoing a shift which
is eroding the idea of brands reaching
combined, upending how entertainment
content is made, discovered and
enjoyed.
the “mainstream”.
One result: platforms like TikTok,
As noted by Oliver Feldwick from Instagram and YouTube are competing
The&Partnership, popular culture was fiercely to be the go-to destination
traditionally “trickle down”, and shaped for creators, now a 50 million-strong
by the few media gatekeepers with community with rising heft amongst
scaled audiences. Today, however, a advertisers.
combination of touchpoint proliferation,
audience fragmentation and splintering TV, by contrast, is suffering a disconnect
attention means culture is increasingly between high ad prices and shrinking
“bubble-up”. audiences – especially younger viewers.
Live sports prove TV can still achieve
Consequently, everything from social scale, but even here digital players
movements to the latest fads now like Amazon are encroaching. A return
emerge from disparate communities to weekly episodic scheduling is one
– whether based around influencers, way TV networks may reassert their
passions or hobbies – that function community-accumulation power.
entirely independently. Top creators
on TikTok, for instance, may be famous As with these media owners, brands
amongst the content-sharing app’s must now answer tough questions
around connecting with creators and

users while having minimal recognition
elsewhere. Gen Z is the vanguard for communities, building scale, and mixing
this balkanisation, spending 95 minutes granular appeals with relevance to
a day on TikTok, more than streaming casual buyers and audiences.
platforms like Netflix and Disney+

Fragmenting audiences, shifting budgets How do you expect investment in the following
digital platforms to change in 2023?
Marketers are not convinced the age targeting interest-based communities
Increase Stay the same Decrease
of mainstream reach is finished – or, at to rise. Sixty-three percent said the
least, not yet. same for gaming – a space where
community is deeply embedded – as TikTok 76% 20% 4%
Proof comes from WARC’s 2022 did 52% for their outlay on influencers
Marketer’s Toolkit poll: when asked if and other social media content. YouTube 57% 37% 6%
‘The era of mass marketing is over’, a Google 53% 43% 4%
48% plurality of interviewees rejected Shifts in audience usage (67%)
this proposition. and audience fragmentation (47%) Twitch 50% 40% 11%
were cited as the main reasons for
Linkedln 46% 45% 9%
The data, though, indicated there is decreasing investment in certain
a broader awareness that the rules digital properties – with creator- Instagram 46% 43% 11%
of engagement are changing. While led platforms like TikTok, Twitch
Amazon 44% 47% 9%
inflation/cost-of-living were the and YouTube amongst the main
biggest source of concern for 2023, beneficiaries of this shift, while legacy WhatsApp 37% 50% 12%
mentioned by 37% of the panel, media social hubs like Facebook and Twitter
Spotify 37% 52% 11%
and audience fragmentation was close saw more brands plan to cut back than
behind on 34%. raise Facebook 23% 47% 30%
their outlay.
The survey also demonstrated Twitter 19% 53% 28%

how this concern is now influencing Snapchat 19% 44% 37%
budgets. When asked about
spending for next year, two-thirds Bing (Microsoft) 11% 54% 35%
of respondents expect investment in 0% 25% 50% 75% 100%

Four implications of bubble-up culture
1. Tapping into community- • Draw bedrock insights from fans and interconnections between groups
first culture extend them to broader audiences, will yield benefits.
as with McDonald’s Famous Orders;
To understand the power of community-
4. Media plans need a rethink
first culture, marketers can look to • Reassess customer journeys, as
MrBeast, aka Jimmy Donaldson, some buyers may purchase based Media strategies – from audience
an online star with over 100 million on community recommendations identification and planning to
YouTube subscribers. (#TikTokmademebuyit) and cross-media measurement – will
“discover” a brand afterwards. need a rethink:
While MrBeast’s brand is rooted
• “Tribe-based” approaches can
in stunt and giveaway videos, it is 3. Diversifying research methods
be test-and-learn and coupled
diversifying – such as with a hamburger
Each community has an internal with mass or one-to-one
line available for delivery across much
culture, so quantitative research communications.
of the US, and which saw fans swamp propulsion towards the mainstream
alone will not suffice:
a recent brick-and-mortar restaurant by a movement; • Contextual targeting can be used to
launch. It has been licensed in several • Qualitative research could be set develop awareness and credibility
• Span the online and offline worlds.
Asian markets, too. for a resurgence, as it is a powerful with communities using ads before
way to identify communal patterns, pursuing deeper engagement.
2. Brands and journeys evolve
This example shows fan communities: cues and values.
• As social media properties battle for
To tap into such effects, marketers
• Are in-built audiences for new • Analysing community hierarchies leading creators, brands must track
may want to:

products, even those distant from a can determine which members changing audience dynamics.
brand’s core competency; • Perceive a brand as a plural entity drive virality.
• Having found appropriate niches,
with different meanings for distinct
• Enable monetisation based not on • Given consumers usually belong reach can be augmented with
audiences, but shared relevance for
mass appeals and advertising, but on to several “taste clusters”, tracing “lookalike” communities.
all of them;

The CMO view
Alon Lian
Anubha Sahasrabuddhe Antonia Wade Head of Advertising
CMO Global CMO & Media Business
Lion Breweries PwC TCL
N ow, we are able to aggregate

or cluster through profiling
around values or passion points.
A few years ago, the number of
people involved to purchase
decisions for our services would be
I t is no longer like a few years
ago when the global market
had a unified rhythm, a unified
But whether you can identify three around four or five. Now it’s up to language, a unified tonality, and so
or 30 relevant tribes, what has to 14 or 15 people … That means that on. Now, with a wave of your arm,
be unchanging is your brand’s core they’re all coming into it with a very you will be greeted with a thousand
values. different perspective of what the value responses.
is that they’re looking for out of the

conversation.

Case Study
McDonald’s: Famous Orders

Agency: Market: Market:
Wieden + Kennedy McDonald’s US
New York
McDonald’s, the quick-service chain, This idea was translated into a Results Takeaways
had long been a US cultural icon. repeatable platform which asked
• McDonald’s econometric modeling • Fans can be a vital source of
But the brand was losing relevance well-known McDonald’s fans – like
attributed $283 million in sales understanding about the deepest
with younger, diverse consumers, music stars Travis Scott, BTS and
to the Famous Orders platform points of connection between consumers
and wanted to find a meaningful way Saweetie – to reveal their favourite
between 2019 and 2021. and a brand.
to re-engage them. orders, and then gave customers the
opportunity to buy these meals in- • In the same period, its sales were • Partnerships can give marketers
In doing so, McDonald’s turned to its store. A celebrity focus enabled the 40% higher while its return on immediate access to two communities:
fans for inspiration. And the resultant brand to engage its own audience marketing investment was up 42%. a brand’s own enthusiasts and
insight highlighted a core truth about while tapping into the fanbases of its a celebrity’s fans.
• Its market share amongst young
its enthusiasts which also resonated big-name ambassadors, too.
consumers outpaced the same • One-off campaigns can undoubtedly
with a much broader audience: namely,
metric amongst all adults, with make an impression, but replicable
that every customer – from high-profile

diverse consumers being an programs can build fanbases of
celebrities to busy working families –
“engine for growth”. their own.
has a favourite order from its menu.

Takeaways 1 2 3
Mass culture has become a Taking part in “bubble up” culture Creators are the lifeblood of
contested idea at a time when will require that brands find authentic this new digital ecosystem, and
communities, “tribes” and fandoms ways of engaging with numerous especially popular with members
are increasingly the source of different communities while remaining of Gen Z. For marketers and media
culture formation and dissemination. true to a clear, overarching proposition. owners, these influencers are a route
to cultural relevance.
For marketers, this means that This, clearly, is no easy task. Looking
traditional notions of “mainstream” to the example of McDonald’s, with its The communities which follow
appeal could be due for a rethink. Famous Orders platform, can assist creators are often large, engaged and

For Gen Z in particular, this is an marketers in understanding how to locate open to their favourite online stars
increasingly foreign – and, indeed, connection points between their biggest pursuing brand tie-ups. Authentic
unwelcome – lens for thinking about fans and a wider audience. partnerships can thus yield significant
their cultural lives. benefits for all parties.

4 The clash of demand,
delivery and disruption
Severe political, economic and environmental

drivers are affecting brands’ access to
a range of raw materials, foodstuffs, gas
and oil, amongst other critical items.
Minimising and effectively managing
disruptions in supply chains will
offer brands a significant
advantage in 2023.

4 – The clash of demand, delivery and disruption
I nterruptions to the supply of energy

and commodities from Ukraine
coupled with sanctions on Russia are
COVID hangover: As trading has
ramped up following the end of
lockdowns, there is a shortage of critical
the primary cause of today’s supply staff such as port workers and truck
chain disruptions. But there are several drivers. Some countries, notably China,
other factors that are contributing to have continued to roll out lockdowns,
this perfect storm, including: which also has a major impact.
Climate change: Droughts, rising Inflation: The war and supply shortages
temperatures and devastating are contributing to rampant inflation
hurricanes are affecting agricultural around the world, which is resulting in
productivity. Low water levels in rivers increased wage demands from labour.
used for transport, and water shortages Consequently, several key workers in
for manufacturing plants, are also the delivery chain are striking in many
affecting industry. And in many cases, parts of the world.
these also constrain rebuilding after a
natural disaster. Managing customer expectations
while minimising supply disruptions will
Sanctions and trade wars: become a key criterion for marketing
Geopolitical tensions and sanctions success in the coming year.
are driving alternate sourcing strategies
as an erupting economic cold war drives
shortages of crucial raw materials.

This is costing brands like Ford, who
spent $1 billion in Q3 to adapt their
supply chain.

Supply squeeze has big impact Do you anticipate supply chain issues causing any
on small players disruption to the supply and delivery of your/your
clients’ products/services over the next year?
Marketers recognise the looming jeopardy. 28% of marketers in our
threat, but levels of concern vary. survey thought that small and medium
Amongst respondents to the 2023 businesses would be worst affected
Toolkit survey, more than 60% by supply chain challenges. No supply chain issues expected 22%
anticipate non-trivial supply chain
disruptions, but just 26% expect they And 52% of marketers surveyed
will be significant or severe. This rises felt challenger brands would be the
Minor supply chain issues with
to one in three amongst European hardest hit by supply chain challenges, 21%
very rare disruptions to supplies
respondents. as they struggle to become profitable.
Typically smaller than established
That is understandable – supply competitors, these brands also Occasional disruptions from
chain challenges will vary by region face what strategist JP Castlin calls time to time with limited impact 35%
on customers
and sector. Automotive, food and their “Maguire moment” – mounting
energy sectors are expected to pressure to deliver profits, as they
be worst hit, while commodities, mature from the start-up stage. Significant supply chain issues,
consumer goods and chemicals Those dependent on low-cost leading to regular disruption in the 24%
should be least affected. countries like China could be supply and delivery of our goods
particularly vulnerable.
Brands with scale, resources and
Severe supply chain issues,

negotiating muscle may grab scarce which threaten the survival 2%
items while smaller players lose of our business
out, in a new variation on double
0% 10% 20% 30% 40%

Finding solutions In the past 24 months, has your organisation relocated any of their
operations from one country to one or more others
Businesses of all sorts are trying to (e.g., near-shoring or re-shoring?)
identify ways to minimise disruption.
Key measures include:
• Move resources closer to home,

Yes, but not planning additional
within the same country/region. relocation(s) in the next 24 months
22%
• Enable visibility into lower level suppliers.

Many brands that thought they had
diversified their sources are finding all
their vendors are dependent on the same Yes, and planning additional
31%
supplier for their raw materials. relocation(s) in the next 24 months
• Create additional capacity outside China,

while still maintaining a presence there.
The goal is to have sourcing options that
No, but planning additional
are independent of China. 13%
relocation(s) in the next 24 months
• Drop just-in-time delivery and maintain
larger inventories. But this strategy
comes with overstocking risks, as seen by
Walmart, Target, Nike etc. No, and not planning additional
34%

relocation(s) in the next 24 months
0% 10% 20% 30% 40%
Source: EY, AM&M Supply chain survey, Q1 2022

Consistent delivery critical for both marketers and consumers
Supply chain performance has Marketers can help smooth

been improving, but an IPSOS survey supply issues
found 28% of US consumers still cite a
lack of products at stores, restaurants, Proactively explain inventory issues:
hotels, travel services etc. and 27% During COVID, a Convey US shopper
cited longer delivery times for online survey found that most understood
shopping. brands’ supply chain challenges and
were willing to give them latitude.
Similarly, marketers recognise the Reaching out to regular customers,
value of consistent inventory, with and letting them know what items are
59% agreeing that “reliable inventory missing (and why) is better than trying to
and regular delivery will become a key hide inventory gaps. Reward programs
brand asset in 2023.” This rises to 63% can also be tweaked to help mitigate
amongst NA and EU respondents. customer frustration, as they will look
for brands to make up for missing items
While major decisions on supplier and delivery delays.
locations are not likely to reside within
the marketing realm, marketers can Communicate and engage: Actively
help brands navigate this uncertain time. create systems that suggest similar
There are powerful measures that sit items to customers unable to find
customers, using digital and social Dig into the data: Marketers have

within a marketer’s remit that can have preferred products. Similarly, shift
channels to engage with them until the access to data as well as expertise in
an important impact on demand for media activity (e.g. search and social)
item is available and make sure they are parsing it. They can map and project
their products. from low inventory items to those that
the first to know when it is via alarms/ demand, as well as identify early surges
are available. Where other options
notifications. for specific products, adding crucial
don’t work, keep in touch with the
insight for procurement teams.

Design for omnichannel: The shift to twice as likely to have avoided supply chain
omnichannel strategy will also help introduce challenges in 2022.
more flexibility, as brands will be able to
source across channels to satisfy demand. Spread-out promotions: Rather than
Brands have found that integrating on-and- trying to create large spikes in sales during
offline inventory can help drive sales. Black Friday, Christmas etc. stretch out that
marketing activity over a longer period,
Promote overstocked items: easing buyer surges and taking pressure off
Marketing initiatives can also be focused supply lines.
on sell-through of overstocked items,
helping mitigate the risk of keeping larger Don’t forget the last mile: Brands tend
inventories. They can also encourage to track products till they reach last mile
businesses to manage expenses more carrier, but it’s more important than ever that
efficiently, i.e. by producing more in the experience is also high quality. Brands need
summer when energy prices are lower and visibility and predictability in last mile delivery
stocking up for winter, when they are higher. to improve customer experience, and drive
more communication and engagement with
Joint scenario planning: Cross-functional the brand.
teams from sourcing/procurement and
marketing can strategise together, and put Adding a product delivery and sourcing
plans in place for unpredictable events perspective to the marketing function simply
and global crises. Marius Bartsch, Head of by working more closely with supply chain
Customer Engagement, Digitas UK argues, teams can help improve both inventory
management and the customer experience,

“The supply chain officer and the CMO
should have each other on speed dial.” despite the significant challenges faced by
Meanwhile McKinsey research found brands the industry in the coming year.
that used scenario planning in 2021 were

The CMO view
Vanessa Yeo Barger Antonia Wade Bhaskar Choudhuri

VP of Brand Global CMO CMO - APAC
Love, Bonito PwC Lenovo
N obody expected such

attention to the supply chain
and logistics and suddenly it has
T he war in Ukraine, the
continuing COVID-19
pandemic, rising inflation, an energy
I f you look at Lenovo’s journey,
one of the key success factors
of our growth in the PC industry
become this sexy thing to fix. For crisis, supply chain disruption and and the smartphone industry has
us, we’ve worked really closely with the pressing needs to address climate been our ability to harness supply
our partners to make sure that we change combine to produce some chain at scale. We do have access
mitigate those disruptions and also of the most difficult sets of global to multiple production facilities
try to make it more accessible from circumstances that business leaders and fairly fast supply chains, which

a pricing perspective. have seen in their careers. has allowed us to alleviate these
headwinds to a significant extent.

Case Study
Grape-nuts: Proactive
Customer Engagement
Client: Post Consumer Advertiser: Market:
Brands (Grape-Nuts cereal) Carmichael Lynch Relate USA
At the start of the COVID lockdowns, promising to return as soon as Results Takeaways
brands were scurrying to rework they could. They also launched a PR,
• The campaign generated • Brands should pro-actively address
their supply chains while consumers social media and email campaign,
2,496 placements and over supply challenges. This will work better
were panic buying and stockpiling. proactively pushing their message.
4 billion impressions as well as than silence, or an overly defensive
Grape-Nuts cereal, manufactured at
1,200 broadcast stories, providing communication strategy. Let customers
just one facility using a proprietary In addition, the brand used social
broad reach for the brand. know what the challenges are and work
recipe and production process, was media to engage with customers,
to communicate timelines and likely
severely affected. offered fans love letters and gifts • It resulted in a 20% increase
delivery dates.
during a Valentine’s Day promotion, in brand passion, and a 5.6%
Unable to find Grape-Nuts on shelves, and offered giveaways and coupons. increase in sales – despite being • Brands should stay engaged with
customers took to complaining It also reimbursed fans who had unavailable for months. customers via social and other platforms
on social media. The brand had to spent up to $110 per box on the black during delivery delays, offering unique
• The Grape-Nuts Secret Super
respond but had no visibility on when market once supplies resumed. or user-generated content, fan groups,

Fans Facebook group grew to more
broad availability would be restored. promotions and giveaways. This will help
than 1,200 highly engaged fanatics,
They chose to be transparent, keep customers engaged and loyal.
offering possibilities for sustained
explaining their challenges and
engagement.

Takeaways 1 2 3
Supply chain excellence will Marketers can help manage Data analysis and planning
drive market advantage. supply chain disruptions. are critical elements for both
marketing and supply.
Consistent availability and rapid Proactively addressing the challenges
delivery sustained by a powerful, created by supply disruptions Marketers are skilled at developing
dynamic supply chain has been a and driving effective customer strategy using data, and planning for
driver of corporate value in recent communication will help blunt the multiple scenarios. These are exactly
years. As supply is disrupted, the impact of inventory limitations and the skills required for sourcing and
brands able to maintain a lead here delivery delays. Engaging with the procurement strategies today. Joint

will have an advantage. Smaller customer through social media could teams, set up to utilise each other’s
brands with fewer resources could result in a genuine advantage at the knowledge, can help brands improve
lose out as a result. end of the sales cycle. visibility and flexibility over the
next year.

5 Price vs. planet:
A false dichotomy
The threat of climate change is

frequently placed in opposition to
the short-term urgency of driving
sales in a financial crisis. The
current moment of economic stress,
however, is actually an opportunity
to bring affordable, eco-friendly
products into the mainstream.

5 – Price vs. planet: A false dichotomy
A t first glance, a tension exists

between marketers’ financial
needs in uncertain times and their long-
that sustainability only lagged mergers
and acquisitions amongst the spaces
where investment could fall if industry
term environmental commitments. conditions tighten.
The logic behind this argument runs as As brand custodians and growth
follows: economic volatility – whether architects, marketers should resist
because of rising inflation, energy the impulse to dilute environmental
prices or interest rates, or supply-chain ambitions, and instead focus on baking
roadblocks and COVID-19 aftershocks eco-friendly values into their affordable
– will cause many shoppers to ruthlessly products. This would help green
prioritise affordability. options become the default, rather than
demanding people change habits, or
Such a trend, in turn, has two spend more, to protect the planet.
assumed consequences: one, that
eco-friendly goods are generally This approach best serves the
high-end options, and therefore large number of consumers who
vulnerable to trading down; and, two, want purchases to be good for the
businesses facing revenue pressure environment and their wallets. And
will cut green initiatives which cannot success in these endeavors can thus
deliver instant returns. facilitate brand differentiation and
deeper relationships.
Research firm Kantar, for example,
discovered that 45% of consumers On the flipside, inaction or ecological

think acting in a sustainable manner is regression could exert high trust and
now harder due to monetary or social reputational costs on companies seen
constraints. For business leaders, as prioritising the planet strictly when it
intelligence provider Gartner revealed is convenient.

Sustainability commitment is strong, What will trigger changes to your

but not perfect sustainability initiatives in 2023?
(Client-side only)
Over 70% of marketers anticipate goals” but could make “significant cuts”
their environmental plans will remain in the face of economic worries;
unchanged, or only subjected to minor
• 10% will prioritise financial indicators, Evidence that customers are
alteration, despite the varied fiscal more focused on price than 57%
only considering ecological initiatives
challenges now taking root across environmental issues
that do not have a negative
the globe.
fiduciary impact;
Increases in costs for eco-friendly
37%
products or practices
WARC’s industry survey found that • 1% will cancel their entire
37% of represented companies expect sustainability agenda.
to continue with their sustainability Poor sales performance, driving
aggressive cost cutting in premium 21%
objectives, while 35% foresee “some Amongst WARC’s client-side panel, products (eco-friendly or otherwise)
small compromises”. evolving customer preferences, rising
sustainability costs, falling sales of A proactive decision to
The totals for clients and agencies on premium goods and a deliberate “pivot to pivot to price now, as the 19%
writing is already on the wall
these metrics were almost identical; price” were earmarked as the triggers for
a coherence hinting at a shared prospective movements in environmental
Declining sales for
commitment to planetary protection strategies. 14%
eco-friendly products
amidst the current monetary pressures.
But marketers paring back such ambitions

However, for 28% of firms – a more must be aware of the reputational risks Other 4%
modest, but not inconsiderable, number if they are seen as only looking beyond
– the outlook is less optimistic: the bottom line when it suits them, and
0% 15% 30% 45% 60%
of lapsing into “greenwashing” in their
• 17% are “keen to pursue sustainability
communications.

Closing the “value–action gap”
While consumers have grown this “value–action gap”, but with intrinsically blends lower prices with
increasingly eco-conscious over time, household budgets under pressure, a facility for consumers to sell on
price is usually still a more important brands need to: used items in a circular way.
purchase driver – an attitude that
• Find the sweet spot across value, • IKEA provided tips on how
solidified during COVID-19’s economic
convenience and sustainability; customers can “upcycle” its furniture
disruption.
they already own rather than buying
• Make it easy by treating green
new goods.
That does not mean shoppers are credentials as a “gift” instead of
abandoning their principles; they may, requiring behaviour change; • Levi’s effectively used
for instance, opt for the cheapest communications to indicate how
• Embrace “eco-accidentalism” so this
sustainable option, not switching to the back-end processes leveraged
choice is the default;
products without these qualities. in creating recyclable 501 jeans
• Make consumers feel good about worked.
• Cerveza Nuestra Siembra countered
As such, marketers must not view this these purchases.
rising Ecuadorian beer prices by
as an either/or proposition; people Learn from other markets
tapping local production to make
want to save money and safeguard the A wide spectrum
Brands should look to a variety of a wallet-pleasing, but high-quality,
environment.
For some companies, an affordability/ markets for guidance, too: brew.
sustainability mix is baked into the
The value–action gap • Indian carmaker Maruti Suzuki • Finish dishwasher detergent
business model. Others will have to
reframed its messaging around fuel responded to a Turkish currency
Shoppers are often worried about work harder in this regard.

efficiency in a category downturn – crisis by drawing attention to a
climate change but confused about
• The RealReal, an online luxury resale an appeal serving pocketbooks and scarce – and even more critical –
how to respond. Paying more for green
and consignment marketplace, the planet. resource: the usable water supply.
products is one solution for navigating

The CMO view
Amy Imbriaco
Rebecca Dibb-Simkin General Manager, Ye Danpeng
CMO Greater China CMO
Octopus Energy Tumi Robam
W e don’t go and talk to

our customers about
sustainability because that just
M aybe we were not the first in
the market to use recycled
materials. But we were never
S hort-term fluctuations only
cause short-term uncertainties,
and there can be some tactical
turns people off. We’re an energy going to do two things: we will not adjustments, but strategic
company and people are interested sacrifice quality, and we will not determination cannot be shaken.
in fair energy and exceptional pass that cost on to the consumer.
customer service. An added bonus Yes, these materials cost more, but
to that is that we are proving that it’s the right thing to do.

green is a cheaper, better way.

Case Study
Carrefour: Act for Good

Agency: Advertiser: Market:
Marcel Paris Carrefour Global
As a hypermarket pioneer, Carrefour controversial ingredients from Results Takeaways

has gained massive scale – and, with Carrefour’s own-label products,
• Clear improvement on key criteria • Climate change is a global challenge;
it, the kind of negative perceptions encouraging sustainable farming,
– organic products choice, local brand solutions must similarly be
attached to every big corporation. and boosting its vegetarian range.
product choice, private label quality enduring, holistic and cover the needs
While the firm had made significant
and accessibility of healthy products of people and planet alike.
efforts to augment its food quality, The campaign started with challenging
– in its seven main markets.
many consumers associated it with European Union laws restricting • Universal principles can feed into
standardisation and commoditisation. biodiversity. • Seventy-eight percent of customers targeted local programs to drive
Moreover, the brand knew cheap, low- globally agreed “Carrefour with Act on-the-ground impact.
quality food was limiting biodiversity, Carrefour also deployed tailored for Food actively helps them to have
• Even as it tackled deep systemic
ecologically harmful, implicated initiatives in ten countries, including a healthy and responsible diet, while
issues, Carrefour’s products were still
in rising obesity and increasingly Argentina, France and Taiwan. It remaining affordable”, while its Net
perceived as accessible and affordable.
unprofitable. pursued activities, such as enhancing Promoter Score climbed 21 points

traceability via blockchain, at a global worldwide.
In response came “Act for Food”, level and addressed local-market
a multi-year, multi-faceted campaign issues, like food price inflation in Brazil.
drawing on principles like removing

Takeaways 1 2 3
Economic progress and ecological Reducing any friction is an invaluable Marketers in some countries are
protection are often viewed as step to encouraging consumer more experienced at dealing with
opposing forces, especially in periods adoption – and can simultaneously issues like currency devaluations,
of financial distress. Questioning enhance the perceived value of a fluctuating household expenditure
this assumption, however, opens product amongst shoppers. and looking beyond promotions as
up a slate of interesting possibilities they try to engage target audiences
for marketers. Finding emotionally satisfying ways of in hard times.
serving buyers could assist brands in
In the long term, blending what is right maintaining price elasticity in a period Learning from these nations may not

from a pricing angle with what is right of fiscal difficulty, too. always be directly transferable, but can
for the planet can bring eco-friendly be useful as inspiration to kickstart
products to the mainstream and new modes of strategic thinking for
secure future mass market demand. positioning sustainable goods.

Contact us
David Tiltman Aditya Kishore Lena Roland Stephen Whiteside Cathy Taylor Alex Brownsell
SVP Content Insight Director Head of Content Managing Editor, Commissioning Editor, US Head of Content
WARC WARC WARC Strategy Reporting WARC Strategy WARC Media
WARC
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Senior Editor, Brands Managing Editor, Research Executive Research Executive Manager, Content Analysis
WARC Research & Advisory WARC WARC WARC
WARC
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them with decision-making tools to help drive
Insight into the development
marketing effectiveness in 2023.
of the digital commerce channel
for marketers
It will help them adapt swiftly to the main
areas of disruption anticipated in the industry.
Additional modules of the Marketer’s Toolkit
2023 will be coming soon.
Future of Media
Developing trends in advertising

spend coupled with insight into
marketer attitudes

Who we are
At WARC, our purpose is to save Today, we help 75,000+ marketers Ascential Intelligence & Events is We value creativity, empowerment and
the world from ineffective marketing across 100+ countries. Our clients the proud home of world-class, execution and we make the world a
by putting evidence at the heart of include the world’s leading brands, established brands including WGSN, better place by helping companies be
every marketing decision. advertising and media agencies, LIONS, WARC, and Money20/20. more relevant, seamless and creative.
media owners, research companies Whilst we serve multiple industries,
We believe that effective marketing and universities – including the top- including marketing, advertising With almost 1,000 employees across
is based on facts and not opinions. five largest agency groups and top- and fintech, each brand’s reason five continents, we combine local
five largest advertisers in the world. for being is the same: we focus on expertise with a global footprint for
Since 1985, we’ve brought confidence the future, drive innovation and clients in over 100 countries.
to marketing decisions through the Want to get access to WARC? lead our customers towards new
most trusted research, case studies, opportunities. Ascential Intelligence & Events
best practice, data and inspiration. Get a demo is part of Ascential plc, which is
We do this through our unique headquartered in the UK and listed
content, insights, data, benchmarking on the London Stock Exchange.
and forecasting tools through a

variety of platforms, including digital
subscriptions, consultancy and
must-attend events.

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The Marketer’s

Global Trends Report

© Copyright WARC 2022. All rights reserved.

The Marketer’s Toolkit 2023: Finding focus in uncertain times

The Marketer’s Toolkit 2023

© Copyright WARC 2022. All rights reserved. 2

Marketing leaders interviewed for this report

Linda Lee Jessica Spence Rebecca Kauveri Khullaar

Conny Braams Vanessa Yeo Barger Antonia Wade Alon Lian

Anubha Amy Imbriaco Ye Danpeng Bhaskar Choudhuri

The Marketer’s Toolkit 2023

© Copyright WARC 2022. All rights reserved. 3

The Marketer’s Toolkit 2023

© Copyright WARC 2022. All rights reserved. 4

Evaluation of macro-trend impacts on marketers

brands within the Ascential group of

By reviewing the major macro drivers

The Marketer’s Toolkit 2023

© Copyright WARC 2022. All rights reserved. 5

2022 has been a year of two-pronged

The Marketer’s Toolkit 2023

O ngoing pandemic-related supply

The Marketer’s Toolkit 2023

© Copyright WARC 2022. All rights reserved. 7

The cost-of-living crisis was also cited as

Still, there are regional differences. Other

The Marketer’s Toolkit 2023

0% 25% 50% 75% 100%

© Copyright WARC 2022. All rights reserved. 8

The Marketer’s Toolkit 2023

© Copyright WARC 2022. All rights reserved. 9

The case for continuing investment

The Marketer’s Toolkit 2023

© Copyright WARC 2022. All rights reserved. 10

A few words about messaging

The Marketer’s Toolkit 2023

© Copyright WARC 2022. All rights reserved. 11

The CMO view

T he recession is real. That’s

The Marketer’s Toolkit 2023

© Copyright WARC 2022. All rights reserved. 12

P&G demonstrates value

The Marketer’s Toolkit 2023

© Copyright WARC 2022. All rights reserved. 13

The Marketer’s Toolkit 2023

© Copyright WARC 2022. All rights reserved. 14

Big Tech’s tectonic plates are shifting

The Marketer’s Toolkit 2023

U ntil recently, technology’s biggest

The Marketer’s Toolkit 2023

© Copyright WARC 2022. All rights reserved. 16

Brand confidence in Facebook How do you expect investment in Facebook

The Marketer’s Toolkit 2023

© Copyright WARC 2022. All rights reserved. 17

emerging technology for their brands. 24%

The Marketer’s Toolkit 2023

0% 15% 30% 45%

© Copyright WARC 2022. All rights reserved. 18

Shifting attitudes towards Big Tech